What happens when big money moves into silver_ _ silverseek. com

The event that will transform the Silver Market is when BIG MONEY finally moves into the sector in a BIG WAY. Trade supplier definition Even though the precious metals prices experienced new highs in 2011, this was due to only a small fraction of investor demand. Definition of trade in value The overwhelming majority of investors were still in playing in the Stock, Bond and Real Estate Markets.

However, the time when BIG MONEY finally moves into the precious metals sector grows closer each day. Trade definition for kids Michael Belkin discussed this in his recent interview on Kingworld News. Step out trade definition Michael provides a very expensive newsletter to large clients (institutions & Hedge Funds) on what they should be buying.

During the end of 2015, Michael put a new gold stock newsletter in which he stated gold stocks were going to really take off in the beginning of the year. Trade geography definition A month later he came out with a group of silver mining stocks that he forecasted would experience tremendous gains. Travel trade definition Well, Mr. Trade and manufacturing definition Belkin HIT THE NAIL ON THE HEAD.

Both the gold and silver mining stocks have performed incredibly over the past 4-5 months. Modern trade definition Mr. Definition of fair trade coffee Belkin believes this is just the first inning of the precious metals bull market. Cease to trade definition Moreover, Mr. On trade marketing definition Belkin believes when BIG MONEY finally moves into the precious metals market, it will really drive the prices to extremely high levels.

Before we get into understanding how BIG MONEY will impact the silver market, let’s look at interesting trends. Definition of foreign trade Two Interesting Trends In the Silver Market

These next two charts provide some insight of what is taking place in the silver market. Trade selling definition The first one is an updated chart on global silver bar & coin demand. International trade organization definition Before the first crash of the U.S. Trade economics definition financial and economy in 2008, global silver bar & coin demand was 56 million oz (Moz). Fair trade food definition However, this changed in 2008 as investors purchased nearly four times the amount in 2008 at 192 Moz:

Even though there were some years were physical silver investment declined (2009 & 2012), the overall trend has been higher. Trade enrichment definition As we can see, investors purchased a record 292 Moz of silver bar & coin in 2015. Definition of international trade law Basically, investors are buying physical silver at nearly six times the rate they were before the financial and economic turmoil in 2008.

NOTE: This chart is using data from the GFMS Team at Thomson Reuters based on including private silver bar and coin demand. Trade finance definition wikipedia This was the first year that private silver bar and coins were included in the data. Butter trade definition Thus, several prior years were revised higher due to adding in estimated private silver bar and coin demand to the total.

Thus, investors continue to purchase record amounts of physical silver investment even though the price has declined over the past five years.

Now, the next chart is more interesting for different reasons. Regional trade organizations definition I was actually surprised by the data when I put it all together. What is the definition of trade The amount of global silver scrap that enters the market is based on price. Fair trade definition The higher the price, the more silver scrap makes its way into the market.

When the price of silver ranged between $11.50 and $15 from 2006-2009, the amount of global silver scrap was over 200 Moz. Trade school definition Then as the silver price moved higher, so did the amount of silver scrap. What is international trade definition When the average annual silver price reached a record $35.12 in 2011, the amount of silver scrap also hit a record of 261 Moz.

Of course, as the silver price declined, so did the amount of silver scrap. Definition of international trade However, if we look at the amount of silver scrap for 2014-2015 and compared them to the figures for the 2006-2009 time period, we see a much different picture. Terms of trade definition The silver price for 2014 ($19) and 2015 ($15.7) were both higher than the years from 2006 to 2009, but the scrap supply was much less.

In 2014, global silver scrap supply was 30+ Moz less than the 2006-2009 average, and over 50 Moz less in 2015. Definition for free trade So, the question is… why is silver scrap supply falling so much? By analyzing these figures and through conversations with the USGS silver specialist, I believe a lot of the high-quality silver scrap was already sold into the market. Fair trade definition business Even though there will be additional volumes of silver scrap in the future, it will take an even higher price to bring less quality (more expensive) supplies into the market. Trade index definition Total Physical Silver Investment Is Peanuts Compared To The Rest Of The Market

Now that we understand silver bar & coin demand is surging to record highs while silver scrap supply falls, this last chart really puts it all into perspective. Trade facilities definition If we add up all the physical silver bar & coin demand from 2008 to 2015, it equals a measly $35 billion:

That’s correct. Fair trade economics definition I took the total demand for each year and multiplied it by the average annual silver price. Modern trade channel definition The total amount of physical silver bar & coin demand was 1.57 billion oz, which was worth $35 billion. Global trade compliance definition That’s correct, total global physical silver investment equaled a lousy $35 billion. Food trade definition That’s not much in the whole scheme of things if we compare it to the broader stock, bond and real estate markets.

Furthermore, if we include the amount of Dollars that trade daily on the FOREX market, it’s even more hilarious. Trade balance definition According to Fxweek.com, daily trading on the FOREX market was $5.3 trillion in 2013. What is the definition of trade winds I would imagine that figure has increased since then.

Okay, if BIG MONEY moves into physical silver and only invests $100 billion, it would consume three times, or 4.71 billion oz of silver. Exchange traded funds definition This is based on the total investment of $35 billion from 2008-2015. International free trade agreement definition Basically, three times the investment… three times the amount of silver needed.

Unfortunately, that amount of silver will not be readily available. International trade effect definition I would be surprised if BIG MONEY was able to acquire 500 Moz. Trade meaning and definition Which means, if supply is tight, then PRICE MOVES MUCH HIGHER.

This is not a matter of “IF”, it’s a matter of “WHEN.” This last chart should make investors realize just how OUT-OF-WHACK the system has become. Definition of trade surplus In just six months, total Government Bond’s that have negative interest have almost doubled:

In the beginning of 2016, the governments of the world had $5.5 trillion in bonds with negative interesting. Definition for trade off Then just five months later, it surged to $10.5 trillion. Free international trade definition This is not a good sign at all. Last trade definition For the amount of global govt. Trade sale definition bonds with negative interest to nearly double in less than a year, investors should be extremely worried.

While Central Banks will continue to issue a bunch more bonds with negative interest, this is not a long-term sustainable policy. Definition of international trade finance When the system finally cracks, BIG MONEY will move into silver that will totally transform the market. Fair trade definition economics How high the price of silver goes… will be a sight to see.

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